Topics: Marketing, Milk, Brand Pages: 6 (2202 words) Published: February 19, 2013
Mengniu Diary Group’s Marketing Communication Strategy Analysis MKT5610-Markeing Strategy & Planning
Individual Case Study for Communication Strategy

Executive summary
From a small dairy company whose assets is only 1.3 million RMB to an annual sales over 30 billion RMB dairy tycoon of China, Mengni Diary Group has created countless miracles and achievements. What makes Menngniu so successful? Besides its good quality products and low price, I think the most important factor is Mengniu’s marketing communication strategy. In this essay I will analysis the communication strategy of Mengniu. How do these strategies help Mengniu to target the customers? What strategy did Mengniu used to attach Yili to develop? And how did it use event strategy to become a” strong cow”? The Mengniu’s communication strategy model is very useful for small and medium company especially the one who just established.

1. Background
Thirteen years ago, a small dairy enterprise called Mengniu Dairy was silently established in Inner Mongolia grassland by Niu Gensheng the chairman of Mengniu Dairy Group. At that time Mengniu started its business in a rough and penniless situation with no factories and buildings, no relationship and no market, being listed the last among the more than 1000 dairy companies of China. Nowadays, Mengniu has become one of the largest dairy enterprise in China, the sales volume boosted from 39 million RMB to over 30 billion RMB and the ranking dramatically increased to the first place from the 1119th. According to statistics shows every four bags of milk which Chinese people drink, at least one of them is produced by Mengniu. In 2002, Mengniu won the first place of the Chinese Super-fast growing top companies(of non-state owned) from 1999 to 2002 on the Summit Conference of Chinese Developing Enterprises. And in 2004 Mengniu Group successfully listed in Hong Kong Stock Exchange, in the same year won the Best Performance Price of Hong Kong Stock Exchange. In such a short time, Mengniu created one and another miracle story, arousing both domestic and overseas attention. Mengniu also has been given many honors. In China, Mengniu is the first enterprise which established the international standard pasture and global plant. In addition, the sales volume of Mengniu’s liquid milk, yoghurt and ice cream has held the first place for several years. Also, Mengniu’s dairy product is the only one which is selected for Chinese astronauts and athletes. Most important is that the OMP(Osteoblasts Milk Protein) Milk Deluxe of Mengniu had won the Award of IDF(International Dairy Federation) New Product Development which is the highest honor of the world dairy industry. What are the reasons which help Mengniu so successful? Doubtlessly, its series of success are closely connected with its marketing strategies, which help it grow up from a “Mongolian cow” to a “China cow” and will lead it to a “World’s cow”. 2. Implementation of Marketing Communication Strategy

3.1 Targeting
“Targeting is the process of evaluating each market segment’s attractiveness and selecting one or more segments to enter”. Mengniu’s plan is to create a well-known brand in china even the word. They compared the characteristics in different markets than they choose Beingjing, Shanghai and Shenzhen as the three main markets. At the very beginning Mengniu chose Shenzheng to break the market because is the most exoteric place where people should accept new things easily. However, at first, all the shop refused to sell the milk of Mengniu, because it is not famous. In view of this situation Mengniu chose a different strategy which is like the “rural area surrounds the urban area”. Firstly they put their advertising into the communities of Shenzheng, then raised the slogan of “pursuing nature far from pollution” and invited the residents to taste and give the Mengniu milk free of charge. Based on this strategy Mengniu milk...
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